High Court of Karnataka Enhances Compensation for Minor Injured in Motor Vehicle Accident — Permanent Disability Assessed at 30%. The Court held that the Tribunal's assessment of disability at 15% was erroneous and enhanced compensation for loss of future income, pain and suffering, and other heads under Section 173(1) of the Motor Vehicles Act, 1988.

High Court: Karnataka High Court Bench: DHARWAD In Favour of Accused
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Case Note & Summary

The appellant, a minor represented by his father, filed an appeal under Section 173(1) of the Motor Vehicles Act, 1988, against the judgment and award dated 26.02.2010 passed by the Vth Additional MACT, Bellary in MVC No.391/2009. The claimant was a passenger in a Tempo Trax that met with an accident on 08.05.2006 due to the driver's rash and negligent driving, resulting in the vehicle turning turtle. The claimant sustained a fracture of the femur and underwent surgery with an implant. The Tribunal awarded total compensation of Rs. 1,05,000 with interest at 6% per annum. The claimant sought enhancement. The High Court found that the Tribunal had assessed disability at 15% to the whole body, but the medical evidence showed 30% permanent disability. The Court reassessed the disability at 30% and recalculated compensation. For a minor, the Court applied a notional income of Rs. 15,000 per annum as per the Second Schedule and a multiplier of 15, but did not add future prospects. The Court enhanced compensation for loss of future income from Rs. 33,750 to Rs. 67,500, and awarded Rs. 30,000 for pain and suffering, Rs. 10,000 for loss of amenities, Rs. 25,000 for medical expenses, Rs. 10,000 for conveyance, nourishment, and attendant charges, and Rs. 5,000 for future medical expenses. The total compensation was enhanced to Rs. 1,47,500. The appeal was partly allowed.

Headnote

A) Motor Accident Compensation - Permanent Disability - Assessment of Disability - Section 173(1) Motor Vehicles Act, 1988 - The claimant, a minor, suffered 30% permanent disability to the whole body due to a road accident. The Tribunal assessed disability at 15% which was held to be erroneous. The High Court, relying on medical evidence, assessed disability at 30% and enhanced compensation accordingly. (Paras 5-7)

B) Motor Accident Compensation - Future Prospects - Minor Claimant - Section 173(1) Motor Vehicles Act, 1988 - For a minor claimant, future prospects cannot be added as the income is notional. The High Court applied a notional income of Rs. 15,000 per annum as per the Second Schedule and a multiplier of 15, but did not add future prospects. (Para 8)

C) Motor Accident Compensation - Pain and Suffering - Loss of Amenities - Section 173(1) Motor Vehicles Act, 1988 - The claimant suffered a fracture of the femur and underwent surgery with an implant. The High Court awarded Rs. 30,000 for pain and suffering and Rs. 10,000 for loss of amenities, which were held to be just and proper. (Para 9)

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Issue of Consideration

Whether the compensation awarded by the Tribunal for a minor claimant with permanent disability is just and proper, and whether the assessment of disability and multiplier applied are correct.

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Final Decision

The appeal is partly allowed. The compensation is enhanced from Rs. 1,05,000 to Rs. 1,47,500 with interest at 6% per annum from the date of petition till deposit. The respondent-insurance company is directed to deposit the enhanced amount within six weeks.

Law Points

  • Motor Vehicles Act
  • 1988
  • Section 173(1)
  • Compensation for permanent disability
  • Assessment of disability
  • Future prospects for minors
  • Pain and suffering
  • Loss of amenities
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Case Details

2018 LawText (KAR) (01) 28

Miscellaneous First Appeal No.23016/2010 (MV)

2018-01-03

B.A. Patil

Sri. Anil Kale (for appellant), Smt. Preeti Shashank (for respondent 2)

C Praveen S/o Shankarappa (minor, represented by father and guardian Sri Shankarappa)

1. V. Prakash S/o Subba Rao, 2. The Divisional Manager, The New India Assurance Co. Ltd., Bellary, 3. T. Hema Reddy S/o Moka Reddy

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Nature of Litigation

Appeal under Section 173(1) of the Motor Vehicles Act, 1988 for enhancement of compensation in a motor accident claim.

Remedy Sought

The appellant-claimant sought enhancement of compensation awarded by the Tribunal.

Filing Reason

The claimant was aggrieved by the inadequate compensation awarded by the Tribunal for injuries sustained in a motor vehicle accident.

Previous Decisions

The Vth Additional MACT, Bellary in MVC No.391/2009 awarded Rs. 1,05,000 with interest at 6% per annum.

Issues

Whether the Tribunal's assessment of disability at 15% was correct? Whether the compensation awarded under various heads is just and proper?

Submissions/Arguments

The appellant argued that the Tribunal erred in assessing disability at 15% instead of 30% as per medical evidence. The appellant contended that the compensation for loss of future income, pain and suffering, and other heads should be enhanced.

Ratio Decidendi

For a minor claimant, the notional income as per the Second Schedule of the Motor Vehicles Act is Rs. 15,000 per annum, and the multiplier is 15. Future prospects are not added as the income is notional. The disability should be assessed based on medical evidence, and the whole body disability in this case is 30%.

Judgment Excerpts

The brief facts leading to the case are that, on 08.05.2006 the petitioner and other persons were travelling in a Tempo Trax bearing registration No.KA-34/5929 as paid passengers. The doctor who has been examined has stated that the disability to the whole body is 30%. For a minor, the notional income is Rs.15,000/- per annum as per the Second Schedule and the multiplier is 15.

Procedural History

The claimant filed MVC No.391/2009 before the Vth Additional MACT, Bellary, which partly allowed the claim on 26.02.2010 awarding Rs. 1,05,000. The claimant appealed to the High Court under Section 173(1) of the Motor Vehicles Act, 1988.

Acts & Sections

  • Motor Vehicles Act, 1988: 173(1)
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